Ethereum, Solana Could Turn Scarcer Than Gold By 2031: Here's the Math to Prove It

Both Ethereum (CRYPTO: ETH) and Solana (CRYPTO: SOL) are considering tokenomics changes that would make them scarcer than gold by 2031, according to a new Grayscale research note.

What Would the Proposed Tokenomics Changes Actually Do?

Grayscale Head of Research Zach Pandl wrote that both networks are considering code changes that would cut annual token inflation significantly. 

If implemented, ETH and Bitcoin (CRYPTO: BTC) would both sit at roughly 0.4% annual inflation by the end of 2031, while SOL would land at around 1.1%. 

Both figures sit below gold’s 1.8% annual supply growth and well below U.S. CPI inflation at 3.3%.

The mechanism is straightforward. Both networks currently issue new tokens as staking rewards. 

Reducing that issuance means fewer tokens enter circulation each year, and lower supply growth pushes scarcity higher, all else being equal.

Pandl noted the Solana proposals appear to have broader community agreement and a better chance of passing. The Ethereum changes remain under active debate.

Who Benefits and Who Doesn’t From Lower Inflation

The tradeoff cuts differently depending on how you hold. Token holders who stake would receive fewer new tokens since staking rewards come directly from inflation.